Par Me Paul-Matthieu Grondin
Dans la décision Hadida c. Dehumidified Air Solutions inc. de la Cour supérieure, un gestionnaire aguerri en matière de ressources humaine s’est fait remercier de ses services après seulement deux mois d’emploi. On lui accorde pourtant 8 mois d’indemnité de départ, ce qui peut sembler très généreux a priori. Pourquoi en est-il ainsi?
Principalement parce qu’il avait été sollicité à quitter un emploi stable et rémunérateur, et qu’on lui avait fait des promesses d’emploi à long terme. Nous étudions fréquemment ces sujets dans ce blogue, et ce jugement détaillé nous fourni un bel exemple de ceux-là.
Habituellement, nous ne reproduisons qu’une partie des motifs d’un sujet donné, mais aujourd’hui, nous reproduisons in extenso l’approche qui a mené à l’embauche de l’employé, et qui se qualifie de unsolicited approach, ce qui milite en faveur d’une indemnité de départ plus longue, parce que tous ses détails en sont intéressants :
[7] In July 2019, Mr. Hadida, while at work at SCP, was contacted by Bob Bright, a recruiter associated with the firm of Underwood Recruiting Inc. (Underwood), hired by DAS. Mr. Bright was located in Atlanta, Georgia, United States of America. Throughout the upcoming recruitment process, Mr. Bright worked with Robert Underwood of Underwood. According to the evidence, Mr. Bright reached out to Mr. Hadida out of the blue, after conducting research on the Internet. Mr. Hadida did not know Mr. Bright and had no previous contact with his firm. It appears that Mr. Bright saw Mr. Hadida’s professional profile on LinkedIn. Mr. Bright sent Mr. Hadida an e‑mail[3]:
“Ian,
I am a recruiter and I am working on a Director of Human Resources position for a growing three site manufacturing company. The position is in Montreal. This is an excellent position with an excellent organization. For more details, I am at 843 278-9028 (Atlanta).”
[8] Intrigued, Mr. Hadida called Mr. Bright who provided additional information[4]:
“[…] The job is with an HVAC manufacturer with three plants – Montreal (Rue Cypihot, St. Laurent), Ottawa and York, Pennsylvania. The total employee population is about 300 people. This is the “Go To” Human Resource person for the organization. It reports into the President. This position has great deal of visibility within the organization. I am looking for local to Montreal candidates only at this point.
Being bilingual (English/French) is a requirement. The sweet spot on base salary is $110 to $120, perhaps more for the perfect person, (Canadian), plus bonus. A four year degree is a requirement along with at least five years Human Resources experience in a management capacity with a manufacturing organization, preferably with an organization that has embraced Lean Manufacturing methodologies. The position has three direct reports. Some travel. What is extremely important to the President is someone who can stand up effectively, when required, to the Plant Managers and others and tell them no when no is not what they want to hear. Must have excellent written and oral communication skills.
[…]
All in all, this is an excellent position for someone who wants to make a difference within an organization.”
[Emphasis added.]
[9] Mr. Bright presented the position to Mr. Hadida. It offered significant, exciting and attractive features for Mr. Hadida. DAS was a larger company than SCP. After making further inquiries, Mr. Hadida learned that DAS had approximately three hundred fifty (350) employees, which was over a third more than SCP. DAS has three (3) manufacturing plants, one in Montreal, Quebec, one in Ottawa, Ontario and one in York, Pennsylvania, United States of America. Mr. Hadida learned that DAS is owned by a very large American company, Madison Industries, with facilities all over the world. Madison owns various business entities and subsidiaries which employs approximately twenty thousand (20,000) employees.
[10] The DAS Director of Human Resources position presented to Mr. Hadida was part of DAS’ senior management and reported directly to the president.
[11] At SCP, Mr. Hadida was assisted by only one (1) person. The Director of Human Resources at DAS managed a team of between five (5) and seven (7) employees, with three (3) direct reports.
[12] Only two (2) senior management positions at the DAS Montreal location were part of the select six (6) member senior management committee that ran all three (3) of the DAS manufacturing sites. It was explained to Mr. Hadida that each location would have a Human Resources generalist working under the supervision of the Director of Human Resources. The different locations gave rise to the perks of travel, including to the United States.
[13] The DAS position also offered a significant increase in salary for Mr. Hadida. At SCP, Mr. Hadida earned $93,000 per year. DAS was offering up to $120,000, essentially a salary increase of 30%. In addition, there was a bonus offered. The representatives of Underwood presented to Mr. Hadida that the DAS position was a great opportunity. As a result of the presentations of the Underwood representatives, Mr. Hadida was interested in finding out more about the position and continuing discussions.
[14] Over the following months, Mr. Hadida was interviewed successively by the Director of Human Resources of a sister company of DAS, Specified Air Solutions, namely Katie Eaton (August 5, 2019), the President of DAS, Rex Lane (November 6, 2019), David Combe, Vice President Operations and Supply Chain and Jonathan Thériault, Vice President (Engineering and Business Development) (November 13, 2019).
[15] Mr. Hadida does not remember all the details discussed during those interviews. However, Mr. Bright and Mr. Underwood always suggested to Mr. Hadida that after each interview, he write to each interviewer a thank you e-mail and that this would have a favourable impact on the assessment of Mr. Hadida by the interviewers. These thank you e-mails contain references to the comments made by the interviewer and their efforts to present the position of DAS’ Director of Human Resources to Mr. Hadida as an important and multifaceted career opportunity for him.
[16] Ms. Eaton mentioned the stability of DAS and that the company was the result of a merger of three (3) distinct companies “that have been around for 30 years[5]”. After speaking to Ms. Eaton, Mr. Hadida thanked her “for all the great things that you have shared with me” about DAS which led him to believe that “this would be a great step for me in my career”.
[17] Mr. Underwood then set up a second interview with the President of DAS, Rex Lane, which took place on November 6, 2019[6].
[18] In his interview with Mr. Lane, the latter presented his vision of the company and his priority of profitability and revenue for DAS and that the position and responsibilities of the Director of the Human Resources were important and a big part of that. He also stated that the position offered an important opportunity to Mr. Hadida to participate, in a managerial role, in the future growth and development of DAS.
[19] In the Court’s view, an e-mail sent later by Mr. Lane to Mr. Hadida conveys the essence of the representations made by Mr. Lane to Mr. Hadida at the time of the interview regarding the importance and attractiveness of the position of DAS’ Director of Human Resources, of employment at DAS and in particular future opportunities for Mr. Hadida at DAS. Mr. Lane wrote[7]:
“We have a great company and we always look to hire great people. I thought our conversation [during your interview] revealed your desire to help us make DAS a great place to work along with an opportunity to allow you to branch out and experience your next opportunity.”
[Emphasis added.]
[20] Upon the recommendation of Mr. Underwood[8], after the interview, Mr. Hadida sent an e-mail thank you to Mr. Lane. Mr. Hadida thanked him for all the information provided about this “key HR leadership role with DAS”[9].
[21] After the interview with Mr. Lane, Mr. Hadida was very positive about the opportunity that was being presented by DAS. Mr. Hadida conveyed to Mr. Underwood and Mr. Bright his understanding regarding the position offered and the future long-term prospects at DAS associated with it in the event that Mr. Hadida decided to leave his long-term employment at SCP. At that point, Mr. Hadida’s understanding is based on the information and representations made to him by Mr. Bright, Mr. Underwood, Ms. Eaton and Mr. Lane. After the interview with Mr. Lane, Mr. Hadida wrote to Mr. Underwood and Mr. Bright[10]:
[Rex Lane] provided me with a great deal of information about the company and the direction they are heading in. This seems like an amazing opportunity to join a winning team that has a great future ahead of them.”
[Emphasis added.]
[22] Mr. Bright (with a “c.c.” to Mr. Underwood) wrote back as follows:
“Thanks. That is very good news.”
[23] The next day, November 7, 2019, Mr. Underwood set up another interview with two (2) other members of DAS’ senior management, namely David Combe, VP Operations/Supply Chain and Jonathan Thériault, VP of Engineering and Business Development for November 13, 2019.
[24] Again, after that meeting, Mr. Underwood recommended to Mr. Hadida that he write to them to express his appreciation and interest in the position[11]. According to the e-mail sent by Mr. Hadida, Mr. Combe and Mr. Thériault conveyed to him their “enthusiasm about working for DAS”[12]. They spoke highly of DAS and gave Mr. Hadida a tour of the facility. Mr. Combe wrote back[13]:
“Ian,
We look forward to you joining the team.”
[25] On November 14, 2019, Mr. Underwood wrote to Mr. Hadida to make him an offer on behalf of DAS for the position of Director of Human Resources. Mr. Underwood wrote[14]:
“Congratulations, I have approval to offer you $125,000, with a 10% bonus target (bonus starting calendar year 2020). Their bonus works on a sliding scale dependent on EBITDA achievement, and has the potential of paying out at 200% of the target bonus if they reach 115% of their EBITDA goals. Rex has confidence things are very positive here.
[…]
Rex and David are very supportive and want you to be on their team; they really will appreciate the opportunity to work with you to help drive successful growth and development.”
[Emphasis added.]
[26] It should be noted that the salary offered of $125,000 is above the previously stated maximum amount of $120,000.
[27] On November 15, 2019, Mr. Underwood sent over to Mr. Hadida the proposed employment contract[15]. Mr. Underwood wrote[16]:
“Congratulations; attached is a very great offer from Dehumidified Air Solutions to join their leadership team as Director HR.”
[Emphasis added.]
[28] The employment contract includes the following clauses:
“We are pleased to offer you employment with the Dehumidified Air Solutions (the “Company”) for an indefinite term in the full-time position of Director of Human Resources.
Your start date will be January 2, 2020. This position requires a flexible schedule and changes to the work week or work outside office hours may be required on a frequent basis.
[…]
Termination
Your employment may be terminated by the Company at any time and without notice or severance for a serious breach of the terms and conditions of this offer of employment or its attached Agreement or for just cause.
The Company may terminate your employment without just cause at any time, where legally permissible, by providing you with written notice of termination, payment in lieu of notice, or a combination of written notice of termination and payment in lieu of such notice, in the amount payable to you pursuant to the labour standard legislation.
[…]
We look forward to your joining the Company and strongly feel that your background and experience will be a great asset to the Company.”
[Emphasis added.]
[29] The senior management of DAS, including Mr. Lane, were fully aware that in order to join DAS, Mr. Hadida would be required to leave his stable and remunerative employment and position as International Human Resources Manager of some twelve (12) years at SCP. Mr. Hadida had previously explained to DAS’ representatives that, should he agree to leave SCP, he wanted to give a substantial notice to his employer of approximately six (6) weeks. In his testimony, Mr. Lane acknowledged having full knowledge of that at the time of making the offer. DAS agreed with the notice period to the previous employer. Therefore, the proposed start date at DAS was agreed to be January 2, 2020.
[30] Mr. Underwood put pressure on Mr. Hadida to sign the proposed contract of employment right away. Mr. Underwood suggested that any time delay would not reflect well on Mr. Hadida’s true “commitment” to DAS. Mr. Underwood wrote to Mr. Hadida that he should sign and return the contract to him “as soon as possible to show energized commitment”[17]. Mr. Hadida signed and sent back the employment contract approximately one (1) hour after receiving it.
[31] According to Mr. Hadida, almost immediately, he started to receive at work at SCP e-mails and requests from DAS regarding budgets, planning and even hiring of future employees. Mr. Hadida was immediately invited to a high level year-end planning meeting in December 2019 of DAS regarding projects for the next year.